Can a non profit company pay employees through a sister company not a non profit company to avoid paying overtime?

Question

Can a non profit company pay employees through a sister company not a non profit company to avoid paying overtime?

Answer

I would be very concerned about such a scheme. At the end of the day, it is appears that you are purposefully subverting labor laws you can pay a price. Further, this may not be a cost-saving move. You would then have to payroll these employees under that other entity, provide workers' comp and other employer compliance.

I suggest discussing your objectives with a lawyer in private. If you would like to discuss further over a free phone consult, feel free to contact me anytime that is convenient.

Kind regards,

Frank

www.LanternLegal.com

866-871-8655

[email protected]/* */

DISCLAIMER: this is not intended to be specific legal advice and should not be relied upon as such. No attorney-client relationship is formed on the basis of this posting.